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Tag Archives: Deutsche Bank

Deutsche Bank is now been classified as a problem bank by FDIC and has been included in a list of banks to be watched. This is the biggest bank in Europe. It cannot be merged within Germany with Commerce Bank for there is just not enough equity to overcome the derivative losses. The only other candidate is BNP, but that is a French bank. This is where the fairytale of Euroland ends. They wanted to create a single currency, but they were unwilling to actually merge the economies. This is why our sources in Italy argue they are now an occupied country. Continue reading →

The Cologne Institute of German Business sees in the planned European deposit insurance is simply incapable of proving protection against a bank crash in Europe. The EU deposit guarantee is simply not practical under any concept of austerity. The Eurozone still has inherent significant risks in the balance sheets of European financial institutions. This is primarily because where the USA took the bad loans from the banks and stuffed them into Freddie and Fanny, in Europe, the bad loans are still on the books of the banks. Systemically, this has been the leading problem why Europe has been unable to recover and Quantitative Easing merely robber savers of their income and it failed completely to stimulate the economy. Banks were still reluctant to lend and people would not borrow if they did not have confidence in the future. Continue reading →

This graph is gorgeous. US deficits have, historically, been driven overwhelmingly by the state of the business cycle, and have very little to do with tax policies and spending decisions that dominate press coverage. In booms, income rises, so tax rate times income rises. In busts, the opposite, plus “automatic stabilizer” spending kicks in.

Elon Musk told the National Governors Association, “There certainly will be job disruption. Because what’s going to happen is robots will be able to do everything better than us.” Musk even went so far as to say that “AI is a fundamental risk to the existence of human civilization.”

BERLIN (Own report) – Using the secessionist conflict in Catalonia as a backdrop, the website of the German weekly Die Zeit published a fiery appeal for dismembering Europe’s nation-states. For quite some time, the author, Ulrike Guérot, has been promoting the “disappearance of the nation-state” in Europe. The nation-state should be replaced by regions with their “own respective identities” that could be “ethnically” defined. As examples, Guérot lists regions with strong separatist tendencies such as Flanders and Tyrol. The author sees herself upholding the tradition of the “European Federalists” of the early post-war period, who – under the guidance of western intelligence services – drew up plans for establishing of a European economic space with free circulation of commodities as a bulwark against the East European socialist countries. Wolfgang Schäuble, as President of the Association of European Border Regions (AEBR) in the early 1980, was also promoting regionalist plans. Inspired by former Nazi functionaries, the AEBR criticized the “nation-state’s barrier effect” of borders in the interests of large corporations. Current economic maps indicate which areas in the EU would form the continent’s most powerful block if regionalization should take effect: south and central Germany as well as its bordering regions from Flanders to Northern Italy.

BERLIN/BARCELONA/MILAN/ANTWERP (Own report) – As can be seen in an analysis of the separatist movements in Catalonia, Lombardy and Flanders, the deliberate promotion of exclusive cooperation between German companies and prosperous areas in countries with impoverished regions has systematically facilitated the autonomist-secessionist movements in Western Europe. According to this study, Flanders, as well as Lombardy – two already economically prosperous regions – have been able to widen the gap between themselves and the impoverished regions of Belgium and Italy, also because they have played an important role in the expansion of the German economy, the strongest in the EU. Through an exclusive cooperation with the state Baden Württemberg, Catalonia and Lombardy have been able to expand their economic lead over more impoverished regions of Spain and Italy, which has spurred their respective regional elites to seek to halt their financial contributions for federal reallocations through greater autonomy or even secession. The consequences of deliberate cooperation – not with foreign nations – but only with prosperous regions, can be seen with Yugoslavia.

In an extensive, must-read report published on Monday by Deutsche Bank’s Jim Reid, the credit strategist unveiled an extensive analysis of the “Next Financial Crisis”, and specifically what may cause it, when it may happen, and how the world could respond assuming it still has means to counteract the next economic and financial crash.

Two weeks after Aleksandar Kocic highlighted the moment in 2012 when the market stopped caring about newsflow and reality, and, in a word “broke” with pervasive complacency setting in regardless of macro uncertainty…

… Deutsche Bank’s post modernist master of stream-of-consciousness narrative is back with a new essay dissecting his favorite topic, the interplay between the Fed and markets, the so-called “umbilical limbo” that connects the two in the form of ultraeasy monetary policy and QE in general, and more importantly, the narrative that the Fed has spun over the past ten years, which while supportive of risk assets, has concurrently resulted in what Kocic calls a “permanent state of exception” from normalcy as a result of the Fed decision to defer the financial crisis indefinitely. Continue reading →

Germany’s government, especially Angela Merkel, is proving inadequate. For a leader with the right personality and leadership, this could be a terrific opportunity to seize control of Germany.

Since 1982, the year E.T. the Extra Terrestrial was released and the Falkland War occurred, Germany has had only three chancellors. The United States has had five presidents in that time; Britain six prime ministers; and Italy 15 prime ministers. Even more remarkable: Since the end of World War ii, more than 70 years ago, Germany has had only nine chancellors. That’s an average of eight years per chancellorship. America, in that time, has had 12 presidents, six years per presidency; Britain 15 prime ministers, five years per prime ministership; and Italy 45 prime ministerships, averaging 1.5 years each.

Behind these facts is a fundamental truth: Postwar Germany, perhaps more than any other modern nation, is accustomed to political stability and order.

So what happens if this stable, dependent political system breaks down? History provides some insight. Continue reading →

The main reason the US government wants $14 billion in penalties from the German bank is that it is deep in debt. They’ve got a gigantic deficit – they are desperate for money. They’ll try to get it anywhere they can, Jim Rogers, financial commentator and investor, told RT.com.

Germany’s Deutsche Bank reportedly failed to reach an agreement with the US on settling a massive fine. The bank is facing a $14 billion fine penalty from the US Justice Department for mis-selling mortgage securities in the run-up to the 2008 financial crisis. Continue reading →

GLOBAL finance leaders issued a fresh warning on economic stability for the EU today, slamming the huge U.S. fine for Deutsche Bank as a mass destabilisation of Germany’s largest bank.

Jeroen Dijsselbloem, the chairman of euro zone finance ministers, said that the U.S. Department of Justice’s demand that Deutsche Bank pay $14 billion for its role in the sub-prime mortgage crisis is too big and will undermine financial stability.

“Let’s hope it is an opening bid,” Dijsselbloem said on the sidelines of the International Monetary Fund and World Bank annual meetings in Washington. “These kinds of fines are completely oversized, and they are damaging to financial stability.” Continue reading →